An appeal bond, commonly known as a supersedeas bond, is a court‑ordered surety that pauses enforcement of a judgment while an appellate court reviews the case. The court appeal bond guarantees payment of the original judgment, plus interest and costs, if the appeal fails.
What the supersedeas bond does
A supersedeas bond stays enforcement of the judgment so the appellant avoids immediate collection actions.
The appeal bond protects the judgment creditor by assuring funds will be available if the appeal is unsuccessful.
When courts require one
Courts typically require a supersedeas bond when a losing party files an appeal and asks the court to stay execution of the judgment pending appeal.
The supersedeas bond amount is set by statute or court order and commonly equals the judgment amount plus interest, costs, and sometimes an additional percentage to cover delay‑related losses.
Typical bond amount and components
The supersedeas bond amount often equals 100% of the judgment; some jurisdictions add interest, taxable costs, and an extra percentage for potential delay damages.
Courts may have detailed procedures for calculating the supersedeas bond amount and may allow alternative security or reduced bonds with court approval.
How to get an appeal bond
Contact a surety agent or broker experienced in appeal bond and court appeal bond placements.
Submit underwriting information including credit, financial statements, litigation details, and the judgment amount as part of the appeal bond application.
The surety underwrites risk and sets an appeal bond premium based on creditworthiness and case specifics.
Once approved, the surety issues the supersedeas bond and it is filed with the court to effect the stay.
Cost factors
Appeal bond cost is determined by the appeal bond premium, which reflects the appellant’s credit and financial profile and the supersedeas bond amount.
Additional costs can include collateral requirements; supersedeas bond collateral may be required if the appellant’s financial profile is weak.
Practical examples
A $500,000 judgment may require a supersedeas bond close to that amount plus interest and costs; posting the appeal bond prevents collection while the appeal proceeds.
Courts and sureties sometimes accept negotiated alternative security or reduced bonds when strict enforcement would cause undue hardship.
Risks and consequences
If the appeal fails, the surety must pay up to the supersedeas bond amount, and the appellant must reimburse the surety under the indemnity agreement.
Posting an appeal bond preserves the status quo but does not change the appellate outcome.
Alternatives and strategic considerations
Request a reduction in supersedeas bond amount from the court by demonstrating hardship or offering alternative security.
Negotiate settlement or partial satisfaction with the judgment creditor to avoid the cost and complexity of a large court appeal bond.
Consult appellate counsel and a surety specialist early to plan timing, appeal bond cost, and supersedeas bond collateral needs.
Final takeaway
A supersedeas bond or appeal bond is a powerful tool to delay enforcement of a judgment during appeal while protecting the judgment creditor; securing one requires careful underwriting, potential collateral, and close coordination between counsel, the court, and a surety provider.